From 18 November 2025, identity verification became a legal requirement for all UK company directors and persons with significant control (PSCs, often referred to as beneficial owners). The new regime applies to both newly incorporated companies and existing UK-registered businesses.
At Accounting People Ltd, we help businesses understand these obligations and ensure smooth compliance with Companies House.
Why is identity verification being introduced?
The new requirements are part of the Economic Crime and Corporate Transparency Act 2023. The aim is to:
- Prevent the misuse of UK companies for financial crime.
- Improve the accuracy of public company data.
- Strengthen trust and transparency in the corporate sector.
In practice, this means anyone who owns or manages a UK company must prove their identity and link it to their official role.
What companies must do
Companies must ensure that their directors and persons with significant controls (PSCs) are verified and assigned a personal code by Companies House. If a person has already been verified, no recheck is required. However, that code must be correctly linked to their role within the company.
Failure to complete verification will prevents the filing of confirmation statements, exposing companies to penalties and creating difficulties with banks, contracts, and compliance checks.
How verification works
There are two approved methods of verification:
1. Direct verification with Companies House
This free digital process uses the gov.uk One Login service. It requires a valid form of photo ID, such as a biometric passport or UK driving licence, and usually involves uploading scans and completing a selfie check for biometric matching. Once approved, a personal code is issued and stored in the individual’s Companies House account.
2. Verification through an Authorised Corporate Service Provider (ACSP)
An ACSP, such as an accountant, solicitor, or company formation agent authorised by Companies House, can complete verification on an individual’s behalf. This option is particularly useful for directors or PSCs based outside the UK. The ACSP submits the verification, after which Companies House issues the personal code. Unlike the direct process, this method may involve a service fee.
Key deadlines to know
The deadlines for verification vary depending on the role and timing:
- Directors of existing companies – must be verified before the next confirmation statement is due (filed annually within 14 days of the review period).
- New directors (from 18 November 2025 onwards) must verify their identity before appointment documents are filed with Companies House.
- Persons with significant control (PSCs) – must link their personal code within 14 days, with exact timing depending on whether they are also a director and whether their appointment was before or after 18 November 2025.
Responsibilities of directors and PSCs
Directors must provide their personal code when the company files its confirmation statement. If a director serves multiple companies, the same code is used but must be submitted for each company separately. Without a valid code, confirmation statements cannot be filed.
PSCs, individuals holding more than 25% of shares or voting rights or otherwise exercising control, also have new obligations. Their identity must be verified and their code linked to the company’s records. Where someone is both a director and a PSC, they must link their code to both roles.
Preparing for the new regime
Companies should act early to avoid last-minute compliance issues. Recommended steps include:
- Reviewing and updating the list of directors and PSCs.
- Checking that Companies House records match official identification documents.
- Deciding whether to verify directly with Companies House or through an ACSP.
- Identifying the company’s next confirmation statement deadline.
- Creating an action plan to ensure all directors and PSCs meet their deadlines.
Future extensions
The verification regime will also be extended to cover:
- Limited partnerships.
- Corporate directors.
- Corporate members of LLPs.
- Relevant legal entities (RLEs) acting as PSCs for other companies.
Conclusion
From 18 November 2025, UK companies will only be able to register or file annual confirmation statements if directors and PSCs are fully verified. The process is straightforward, but deadlines are strict, and non-compliance carries risks.
At Accounting People Ltd, we can assist with verifying directors and PSCs, choosing the most suitable verification method, and ensuring all Companies House deadlines are met.
Contact our team today to ensure your business is ready for the upcoming changes.
